Twitter IPO Offers Rare Insight into HNW Investors


October 10, 2013

Last week we wrote about the trend that sees more family offices and high-net worth individuals participating in venture capital rounds before mezzanine financing and this week the Twitter IPO filings provide some more insight into who some of these typically low-profile investors currently are. Forbes and Reuters, as well as AllThingsDigital studied the SEC filings and did quite a bit of research to find out more about who will benefit from a Twitter IPO.


Reuters wrote about the “little known” Hollywood media PE investment fund that ventured into technology investing, a fund called Rizvi Traverse, which holds a valuable stake in Twitter. It also reminded readers about another investor, pointing to its exclusive interview with billionaire Prince Alwaleed Bin Talal Alsaud who told Reuters he had invested USD 300 million in late 2011 and his long term view on the stock. He said he did not plan to sell any shares in the public offering.


Forbes wrote about the largest shareholders, saying that two are billionaires, one newly-minted after his stake in the company was revealed, namely Evan Williams who owns 12% of Twitter, and current chairman, Jack Dorsey, who holds about a 4.7% equity stake, not including options. Director Peter Fenton also holds 31.6 million shares for Benchmark Capital.


And AllThingsDigital contributed to the topic with a discussion of the messaging startup’s revenues and losses, but also highlighted its earlier reports that revealed the other “5% Stockholders”, which include, Rizvi Traverse, Spark Capital, Benchmark, Union Square Partners and DST Global.

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